Massive Drop in Bitcoin’s Price as Facebook Refutes Rumors of Investment

11:08 am, Thu, 29 April 21

The price of Bitcoin has significantly dropped as Facebook denied investment rumors in the cryptocurrency. Several news platforms anticipated that Facebook would soon be including Bitcoin on its books. However, Facebook has denied the rumors, followed by its quarterly SEC fillings reported today that did not mention any investment in Bitcoin.

After Tesla’s investment in Bitcoin, the possibility of Facebook investing in the flagship cryptocurrency only seemed timely and sparked investment rumors. While many well-known companies have been inclined towards investing in Bitcoin, the list does not include Facebook at the moment.

Price of Bitcoin Before and After Facebook’s Announcement

The price of Bitcoin in the digital currency market considerably fluctuated before and after Facebook’s earnings report was announced. The rumors of Facebook supposedly making the investment caused the price of Bitcoin to rise above $1,400, an increase of 2.6% to a daily high of $56,500. The price of the top cryptocurrency was expected to go even higher if Facebook confirmed the investment rumors.

However, the price of Bitcoin took a nosedive after it was revealed that Facebook will not be making any investments. According to reports, Bitcoin represented a decline of approximately $2,500 or 4%, bringing the price down to $54,000.

While keeping an eye on the cryptocurrency market and staying up-to-date with the price of Bitcoin, this might be a suitable time for new investors to purchase Bitcoin by using secure exchanges such as SwissBorg or Kraken.

Possible Competition for Bitcoin in the Future

In 2018, Mark Zuckerberg, the CEO of Facebook, expressed his interest in the digital currencies. Facebook has a market capitalization of $876 billion, which would have made it the biggest company to add Bitcoin to the books, if the investment rumors were proved true.

However, Facebook is not new to the idea of crypto as it has been reported that Diem Association, backed by Facebook, will be launching Diem (their own digital currency) later this year.

The potential of digital currencies is being highlighted more and more with the investments made by major corporations and companies. The price of Bitcoin and other cryptocurrencies may fluctuate, however, the utility of the cryptocurrencies cannot be denied.

Therefore, people interested in buying cryptocurrency should invest in Bitcoin by using SwissBorg or Kraken while the price of the cryptocurrency is low. On the other hand, existing or potential traders can use secure exchanges such as ByBit for crypto trading and PrimeXBT Covesting for copy-trading.